In 2025, the demand for business-class apartments in the primary market of Kyiv significantly increased – their share of total sales reached 20-22%, which is more than double the figure from 2023. The average cost per square meter in such new developments is $1,700. Buyers are increasingly choosing these properties for personal residence rather than as an investment.
This is reported by Finway
Shortage of New Housing and Its Impact on Prices
Real estate market experts predict further price increases for business-class apartments. The main reason for this is the significant shortage of new housing that has developed since the onset of Russia’s full-scale aggression in February 2022. Developers are launching significantly fewer new projects compared to the number of completed complexes, and the rising cost of construction materials, labor shortages, and limited financing are forcing builders to approach the launch of new properties more cautiously.
“For every five completed complexes, only one new project is started, which threatens a housing shortage in the next three to five years. If demand remains relatively stable, supply is unable to keep up: developers are hesitant to take risks due to limited financing, labor shortages, and rising material costs. In this situation, prices are almost inevitably rising – on average by 15-25% annually, regardless of seasonality or inflation fluctuations,” experts explain.
It is expected that in winter, prices for business-class apartments in Kyiv may rise by another 5%, depending on the readiness of residential complexes, their location, and the availability of infrastructure.
Advantages of the Primary and Secondary Markets for Buyers
According to a survey conducted among potential homebuyers, 61% of respondents consider both new developments and the secondary market. Only 14% prefer exclusively apartments in the primary market, while 24% focus solely on ready-to-move-in apartments. The main advantage of secondary housing, as noted by Ukrainians, is the ability to move in quickly, as new developments require time for construction completion and additional renovation costs, which reduces their attractiveness for some buyers.
In cities such as Lviv, Ivano-Frankivsk, Uzhhorod, and Kyiv, the greatest interest remains in the secondary market. This is due to the fact that purchasing housing here can be done significantly faster than waiting for the completion of a new development.